What are the best energy stocks to buy?

A few leaders stand out because they’re larger in size and have strong financial profiles. Here are a few of the top energy companies to consider:Brookfield Renewable.ConocoPhillips.Chevron.NextEra Energy.Enbridge.

Are energy stocks risky?

The energy sector is vital to the global economy because it provides the fuel and power needed to drive trade and travel. However, when the economy slows, it can significantly affect energy demand and prices. That can put significant pressure on energy stock prices. Conversely, when the economy hits the accelerator, demand soars and usually takes prices up with it. Investors should focus on companies with strong fundamentals that can easily weather a downturn. In addition, they should focus more on clean energy companies using renewable sources.

Are energy stocks good to own during periods of inflation?

Energy stocks can be good to own during periods of inflation. Rising energy prices are a key contributor to inflation. Meanwhile, many energy companies sign long-term contracts with built-in inflation-linked rate escalation clauses, enabling them to benefit from inflation.

What energy stocks pay the most dividends?

Master limited partnerships tend to be the highest-yielding energy dividend stocks. For example, leading MLPs Enterprise Products Partners (NYSE: EPD) and Energy Transfer (NYSE: ET) had yields of nearly 6% and 7%, respectively, in early May 2026.

How can I track energy stock performance?

You can track the performance of energy stocks by following an index such as the S&P 500 Energy Index, which tracks all the energy stocks in the S&P 500. Alternatively, you could follow a leading energy ETF, like the Vanguard Energy ETF (NYSE: VDE), which tracks a benchmark that measures the returns of energy stocks.

How do energy ETFs differ from individual energy stocks?

Energy ETFs invest in many individual energy stocks. As such, they offer broader exposure to the energy sector compared to an individual energy stock.

What are the largest energy stocks by market capitalization?

The largest energy stocks by market capitalization are:Saudi AramcoExxonMobilChevronShellPetro China

What is the fastest-growing energy company?

Bloom Energy (NYSE: BE) was one of the fastest-growing energy companies in early 2026. The Maker of advanced fuel cells delivered 130% year-over-year revenue growth in the first quarter, with its product revenue growing 208%. It expects to grow its revenue by 80% at the mid-point in 2026. Meanwhile, Bloom Energy's non-GAAP operating income rocketed by $116.5 million to $129.7 million.

Best Energy Stocks for 2026 and How to Invest

By Matthew DiLallo – Updated May 3, 2026 at 9:10 AM EST | Fact-checked by Frank Bass

Key Points

Brookfield Renewable focuses on generating steady cash flows and expects to deliver 10% annual FFO growth through 2031.
ConocoPhillips plans significant cash returns, fueled by strong growth in free cash flow.
Chevron's dividend grows alongside its oil-fueled cash flows.

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Ticker Information Table
Name and ticker	Market cap	Dividend yield	Industry
Brookfield Renewable (NYSE:BEPC)	$6.3 billion	4.29%	Independent Power and Renewable Electricity Producers
Enbridge (NYSE:ENB)	$119.6 billion	4.99%	Oil, Gas and Consumable Fuels
ConocoPhillips (NYSE:COP)	$150.2 billion	2.63%	Oil, Gas and Consumable Fuels
Chevron (NYSE:CVX)	$380.4 billion	3.62%	Oil, Gas and Consumable Fuels
NextEra Energy (NYSE:NEE)	$202.2 billion	2.40%	Electric Utilities

Data as of May 3, 2026. Showing 5 of 5 tickers.

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1. Brookfield Renewable

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NYSE: BEP

Brookfield Renewable Partners

Today's Change

(0.72%) $0.24

Current Price

$33.35

Key Data Points

Market Cap

$10B

Day's Range

$32.87 - $34.66

52wk Range

$22.17 - $35.97

Volume

1.6M

Avg Vol

805K

Gross Margin

18.64%

Dividend Yield

4.53%

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Brookfield Renewable (BEP +0.72%)(BEPC -3.09%) is a leading global renewable energy producer. It operates hydroelectric, solar, and wind energy assets. The company sells the power produced by these assets under long-term fixed-rate power purchase agreements (PPAs) to electric utilities and other large power users. Brookfield has also invested in several sustainable solutions businesses, including carbon capture, biofuels, and nuclear services.

The contracts enable Brookfield to generate relatively steady cash flows. It pays out a large portion of that money to investors via an attractive dividend. The company retains the balance to acquire, develop, and expand its renewable energy operations. In late March, Brookfield and a partner agreed to acquire Boralex, a leading Canadian renewable energy company.

Brookfield Renewable has an enormous backlog of renewable energy development projects. Combined with other growth drivers such as acquisitions and higher power prices, Brookfield expects to increase its funds from operations (FFO) per share by more than 10% annually through 2031. That should support dividend growth of 5% to 9% annually, making Brookfield, with a yield of more than 4.5% in mid-2026, an excellent renewable energy dividend stock.

2. ConocoPhillips

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NYSE: COP

ConocoPhillips

Today's Change

(-2.06%) $-2.59

Current Price

$123.19

Key Data Points

Market Cap

$150B

Day's Range

$122.47 - $125.76

52wk Range

$84.28 - $135.87

Volume

7.8M

Avg Vol

9.7M

Gross Margin

23.54%

Dividend Yield

2.63%

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ConocoPhillips (COP -2.06%) is a diversified oil and natural gas producer. It operates worldwide and uses several methods to produce oil and natural gas. The oil company's deep, durable, and diverse portfolio boasts decades of supply with costs below $40 a barrel.

It's investing heavily in several long-cycle capital projects, notably liquified natural gas and its Willow oil project in Alaska. These investments, along with its cost-savings initiatives, could add an incremental $7 billion in free cash flow by 2029 at an average oil price of $70 a barrel (nearly double 2025's level) and $6 billion if crude averages $60 a barrel. With crude prices well above those levels in 2026 due to the war with Iran, ConocoPhillips is on track to produce even more cash flow this year.

ConocoPhillips anticipates returning a significant portion of its growing free cash flow to investors in the coming years. It plans to repurchase shares and rank among the top 25% of S&P 500 companies in dividend growth.

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3. Chevron

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NYSE: CVX

Chevron

Today's Change

(-1.31%) $-2.53

Current Price

$190.78

Key Data Points

Market Cap

$380B

Day's Range

$189.76 - $194.00

52wk Range

$133.77 - $214.71

Volume

293K

Avg Vol

12M

Gross Margin

13.31%

Dividend Yield

3.62%

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Chevron (CVX -1.39%) is a leading global energy company. It boasts a globally integrated oil and gas business that includes exploration and production assets, refining capabilities, and a chemicals business. The company’s large-scale, integrated operations help it weather volatility in the energy sector.

Chevron uses the cash flows generated from its legacy oil and gas operations to pay a growing dividend, repurchase shares, and invest in the future. Chevron increased its dividend for the 39th straight year in 2026. It also plans to buy back between $10 billion and $20 billion of its stock each year.

The company expects to grow its cash flow by an additional $12.5 billion in 2026, assuming oil averages $70 a barrel. Drivers include recently completed expansion projects, its Permian Basin development program, cost-saving initiatives, and the successful closing of its acquisition of Hess. Chevron is now on track to produce even more free cash in 2026, driven by the war-fueled spike in oil prices. Meanwhile, the Hess megadeal enhances and extends Chevron's production and free cash flow growth outlook into the 2030s. It can deliver more than 10% annual free cash flow growth through 2030 at $70 oil.

Chevron is also investing in the lower-carbon fuels the world will require in the future. It's focusing on carbon capture and storage, hydrogen, renewable fuels, gas-fired power generation for AI data centers, and lithium. The balance makes it an ideal choice for those seeking a way to invest in the energy transition from fossil fuels to cleaner alternatives.

4. NextEra Energy

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NYSE: NEE

NextEra Energy

Today's Change

(-0.86%) $-0.84

Current Price

$97.04

Key Data Points

Market Cap

$202B

Day's Range

$96.66 - $98.76

52wk Range

$63.88 - $98.76

Volume

215K

Avg Vol

9.6M

Gross Margin

36.10%

Dividend Yield

2.40%

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NextEra Energy (NEE -0.86%) is one of the country's largest electric utility companies. It's also a global leader in generating power from wind and solar through its energy resources segment, which sells clean energy to other utilities and large corporations nationwide.

These businesses generate relatively stable cash flow. It sells and distributes power at government-regulated rates and under fixed-price PPAs with customers. The business model is very resilient because businesses and households need a steady supply of power.

NextEra Energy has one of the best financial profiles in the electric utility sector. It features one of the highest credit ratings in its peer group. NextEra also has a conservative dividend payout ratio for a utility, enabling it to pay a stable, growing dividend. The company increased its dividend by 10% in 2026 and expects to grow it at a 6% compound annual rate from that level in 2027 and 2028.

Its strong financial profile also allows it to make significant investments in new renewable energy capacity and related infrastructure. It boasts strong growth prospects, driven by accelerating demand for renewable energy in sectors such as electric vehicles and data centers. These investments help drive the company's expectation of growing adjusted earnings per share by more than 8% annually through 2035.

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5. Enbridge

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NYSE: ENB

Enbridge

Today's Change

(-0.97%) $-0.54

Current Price

$54.88

Key Data Points

Market Cap

$120B

Day's Range

$54.85 - $55.49

52wk Range

$43.59 - $55.49

Volume

127K

Avg Vol

Gross Margin

32.74%

Dividend Yield

4.99%

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Energy stock FAQ

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About the Author

Matt DiLallo has been a contributing Motley Fool stock market analyst specializing in covering dividend-paying companies, particularly in the energy and REIT sectors, since 2012. He also covers pre-IPO companies, ETFs, and other investing topics. He holds an MBA from Liberty University.

TMFmd19

@MatthewDiLallo

Matt DiLallo has positions in Brookfield Renewable, Brookfield Renewable Partners, Chevron, ConocoPhillips, Enbridge, and NextEra Energy. The Motley Fool has positions in and recommends Chevron, Enbridge, and NextEra Energy. The Motley Fool recommends Brookfield Renewable, Brookfield Renewable Partners, and ConocoPhillips. The Motley Fool has a disclosure policy.

The energy sector is vital to the global economy because it provides the fuel and power needed to drive trade and travel. We've seen its importance in 2026 as the war with Iran has put the energy sector in the crosshairs. The war-fueled spike in energy prices has driven up energy stocks. However, the converse is that when the economy slows, it can significantly affect energy demand and prices. That can put significant pressure on energy stock prices.

The best energy stocks to buy are those that can thrive in strong market conditions while easily surviving a downturn. Energy stock investors should also pay closer attention to cleaner energy companies using renewable sources. The world is steadily transitioning to cleaner fuels to avoid the worst impacts of climate change. Given the importance of energy to everyday life, investors should consider adding at least one high-quality energy stock to their portfolio.

Key Energy Sector Trends

Here are some of the major trends impacting the energy sector:

Strait of Hormuz closure: The closure of the Strait of Hormuz due to the war with Iran caused a massive supply disruption, driving up energy prices in early 2026. It could have a long-term impact on the global energy market, boosting demand for U.S. LNG exports and renewable energy.

AI data center boom: The explosive growth in AI data centers is powering a surge in electricity demand, benefiting natural gas and renewable energy.

Climate change: Concerns about climate change are driving energy users to steadily transition to lower-carbon sources, including natural gas, renewables, and nuclear energy.

How to invest in energy stocks

Open your brokerage app: Log in to your brokerage account where you handle your investments.

Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.

Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.

Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.

Submit your order: Confirm the details and submit your buy order.

Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

Best Energy Stocks for 2026 and How to Invest

Key Points

1. Brookfield Renewable

Key Data Points

2. ConocoPhillips

Key Data Points

3. Chevron

Key Data Points

4. NextEra Energy

Key Data Points

5. Enbridge

Key Data Points

Related investing topics

7 Best Clean Energy ETFs to Consider in 2026

Best Nuclear Energy Stocks in 2026 and How to Invest

Best Infrastructure Stocks to Buy in 2026

Best Construction Stocks to Buy in 2026 and How to Invest

Energy stock FAQ

What are the best energy stocks to buy?

What are the best energy stocks to buy?

Are energy stocks risky?

Are energy stocks risky?

Are energy stocks good to own during periods of inflation?

Are energy stocks good to own during periods of inflation?

What energy stocks pay the most dividends?

What energy stocks pay the most dividends?

How can I track energy stock performance?

How can I track energy stock performance?

How do energy ETFs differ from individual energy stocks?

How do energy ETFs differ from individual energy stocks?

What are the largest energy stocks by market capitalization?

What are the largest energy stocks by market capitalization?

What is the fastest-growing energy company?

What is the fastest-growing energy company?

About the Author

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Premium Investing Services

Energy stock FAQ

What are the best energy stocks to buy?

What are the best energy stocks to buy?

Are energy stocks risky?

Are energy stocks risky?

Are energy stocks good to own during periods of inflation?

Are energy stocks good to own during periods of inflation?

What energy stocks pay the most dividends?

What energy stocks pay the most dividends?

How can I track energy stock performance?

How can I track energy stock performance?

How do energy ETFs differ from individual energy stocks?

How do energy ETFs differ from individual energy stocks?

What are the largest energy stocks by market capitalization?

What are the largest energy stocks by market capitalization?

What is the fastest-growing energy company?

What is the fastest-growing energy company?

5 top energy stocks for 2026

7 Best Clean Energy ETFs to Consider in 2026

Best Nuclear Energy Stocks in 2026 and How to Invest

Best Infrastructure Stocks to Buy in 2026

Best Construction Stocks to Buy in 2026 and How to Invest

1. Brookfield Renewable

3. Chevron

5. Enbridge

Benefits and risks of investing in energy stocks

Should you invest in energy stocks?

Key Energy Sector Trends

Related investing topics

FAQ

Key Data Points

Key Data Points

Key Data Points

Key Data Points

Key Data Points

2. ConocoPhillips

4. NextEra Energy

How to invest in energy stocks